Question

The following amounts summarize the financial position of Willis Computing, Inc., on September 30, 2018: (Click the icon to v1 September 30, 2018 financial position - X = + Assets Accounts + Receivable + Supplies + Equipment 3,550 11,500 LiabilitiesA Transactions a. The company received cash of $4,100 and issued common stock. b. Performed services for a customer and receiAssets Liabilities Stockholders Equity Supplies Type of Equity Transaction + Accounts Payable 8,100 Cash Bal 2,000 (a) C AccRequirement 2. Prepare the income statement of Willis Computing, Inc., for the month ended October 31, 2018. List expenses inRequirement 3. Prepare the entitys statement of retained earnings the month ended October 31, 2018. Select the labels and enRequirement 4. Prepare the balance sheet of Willis Computing, Inc., at October 31, 2018. Select the labels and enter the amou

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Answer #1
Assets Liabilities Stockholder's Equity
Accounts Accounts Common Retained
Cash + Receivable + Supplies + Equipment = Payable + Stock + Earnings
Bal $ 2,000.00 $ 3,550.00 $ 11,500.00 $ 8,100.00 $   6,100.00 $ 2,850.00
a) $ 4,100.00 $   4,100.00
b) $ 6,300.00 $ 6,300.00
c) $(4,800.00) $(4,800.00)
d) $ 900.00 $     900.00
e) $ 1,800.00 $(1,800.00)
f) $ 4,100.00 $ 4,100.00
g) $(2,850.00) $(2,850.00)
h) $(2,700.00) $(2,700.00)
Bal $ 3,850.00 $ 5,850.00 $ 900.00 $ 11,500.00 $ 4,200.00 $ 10,200.00 $ 7,700.00
Total $                                                                                  22,100.00 $                                                          22,100.00
Income Statement
Revenues
Service Revenue $ 10,400.00
Less: Expenses:
Office Rent $(2,000.00)
Advertising Expense $    (850.00) $ (2,850.00)
Net Income $   7,550.00
Statement of Retained Earnings
Beginning balance $   2,850.00
Add: Net Income $   7,550.00
Sub-total $ 10,400.00
Less: Dividend paid $ (2,700.00)
Ending Balance $   7,700.00
Balance Sheet
Assets Liabilities
Cash $   3,850.00 Accounts Payabe $   4,200.00
Accounts Receivable $   5,850.00 Total liabilities $   4,200.00
Supplies $      900.00
Equipment $ 11,500.00 Stockholder's Equity
Common Stock $ 10,200.00
Retained Earnings $   7,700.00
Total Equity $ 17,900.00
Total Assets $ 22,100.00 Total Liabilities and Equity $ 22,100.00
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